South Korea’s Deputy Prime Minister and Minister of Strategy and Finance, Kim Dong-Yeon, announced that the South Korean government is working on legislation that includes improvements regarding the Bitcoin market and taxation. and investors are known to impose regulatory sanctions that are structurally similar to policies imposed by the Japanese government and the Japanese Financial Service Agency (FSA).. In addition, shopping and trading platforms working with cryptocurrencies can operate freely in both countries; It is not subject to strict surveillance by the government.
South Korea is following Japan’s footsteps
Japan launched a major initiative this year to ensure the growth of the cryptocurrency market in the country.. The Japanese government has announced that it has abolished the eight percent excise tax on Bitcoin in order to maintain the growth rate of the Bitcoin industry. It is thought that the South Korean government will adopt a similar tax policy for Bitcoin.
There is a legitimization and centralization of Bitcoin
According to statements from some agencies, Bitcoin communities and government officials Concern over centralization of bitcoin trading. South Korean Bithumb, the world’s second largest cryptocurrency trading platform behind Bitfinex, has a share of approximately 70% in the country’s Bitcoin trading. It was announced that new methods will be explored on the distribution of trading platforms to a wider spectrum.
Banks are experimenting with Bitcoin too
South Korea’s second largest merchant bank, Shinhan, is the country’s largest and most Some of the influential financial institutions have started testing their Bitcoin wallet systems.. In addition, it is known that they are trying to develop a long-term strategy to offer a secure and insured platform with Bitcoin. stressed that a safe deposit box service is necessary for firms and institutional investors.
However, it is essential to consider the structure of Bitcoin.. Because the Bitcoin network resides on a peer-to-peer (P2P, end-to-end) protocol, the safest way to store Bitcoin is for users to have private keys and be stored in unsupervised wallets with absolute control of the funds.
Overall, it’s a very positive development that the South Korean government has begun to acknowledge Bitcoin’s rapid growth rate and come up with various solutions to legitimize the South Korean Bitcoin industry.
cointelegraph
Tidy up electric scooters: Driver’s license and age requirement will be introduced